HUB24 inflows slow in Q4
HUB24 has published its Q4 results for the FY22–23, reporting a 14.6 per cent decrease in platform net inflows.
Net inflows to platforms during the quarter were $2.1 billion, down 14 per cent on the prior corresponding period.
Total funds under administration (FUA) were $80.3 billion, up from $76.9 billion in Q3, comprising platform FUA of $62.7 billion and portfolio, administration and reporting services (PARS) FUA of $17.6 billion.
The platform FUA included positive market movements of $1.2 billion for the quarter.
During the quarter, the number of PARS accounts rose by 1.1 per cent to 8,154.
Looking at advisers, the firm said the total number of advisers using the platform increased 15 per cent in the prior corresponding period to 4,011 during the quarter. Some 28 distribution agreements have been signed, including opportunities with multiple large boutique advice practices.
This is where HUB24’s product solutions and customer service propositions are most resonant with licensees and advisers, it said.
“HUB24 has continued to achieve solid results delivering $2.1 billion of net inflows for the quarter (down 14.7 per cent on pcp) in the context of economic uncertainty impacting on investor sentiment. This is resulting in softer flows across the market particularly into IDPS [Investor Directed Portfolio Service] and the increased use of off-platform term deposits.
“Superannuation flows continue to be strong, being less impacted by the economic cycle.”
The number of accounts across Class Super, Class Portfolio and Class Trust increased during the quarter to 202,149, an increase of 1.9 per cent on the pcp.
HUB24 also confirmed myprosperity is now operating as a business unit within HUB24 and work has begun on delivering an enhanced client portal solution for platform customers which leverages myprosperity technology.
The acquisition is expected to “accelerate HUB24’s platform of future strategy, support our current growth trajectory and strengthen our competitive advantage”.
“Joint discovery sessions have also commenced to identify additional opportunities to leverage the combined capabilities of the group,” it added.
AUTHOR
Laura Dew
Recommended for you
Money Management examines the share price of financial advice licensees over one year to 31 March, with M&A actions in the final quarter having a positive effect for two licensees.
A $3.5 million settlement for victims of Melissa Caddick has been approved by the Federal Court following an initial agreement last December.
The Reserve Bank of Australia has delivered its first rate decision since the introduction of a new board structure last month.
Digital advice provider Otivo has launched an interactive tool, powered by artificial intelligence and Otivo’s own advice engine, to help answer client questions.
